KAPCO and Fauji Foundation Bid for Attock Cement

Kot Addu Power Company Limited (KAPCO) and Fauji Foundation (FF) are jointly intensifying their efforts to procure a controlling stake of 84.06% in Attock Cement Pakistan Limited. A binding offer has been presented to Pharaon Investment Group Limited S.A.L, the existing shareholder, for their complete equity.

KAPCO shared this update in a notice submitted to the Pakistan Stock Exchange (PSX) on Tuesday.

Earlier in June, Fauji Foundation and KAPCO had officially communicated their intent to collectively secure a majority shareholding and joint command of ACPL.

According to the public announcement of intention (PAI) filed with the PSX, the acquirers are looking to purchase 84.06% of ACPL’s shares, divided as Fauji Foundation holding 42.03% and KAPCO holding 42.03%.

The notice stated that the company has presented a binding proposal to Pharaon Investment Group Limited S.A.L for the agreed consideration regarding the potential acquisition of the seller’s total stake in the target, which constitutes 84.06% of the target’s total issued and paid-up capital.

KAPCO clarified that the binding offer depends on the seller’s approval, the execution of the share purchase agreement and associated documents, and the fulfillment of regulatory approvals and other stipulated conditions.

This development occurs as Pharaon Investment Group Ltd., based in Lebanon, explores the strategic divestiture of its stake in Attock Cement Pakistan Ltd. (ACPL).

The prospective sale has garnered preliminary interest from significant entities within the cement and energy sectors, including Cherat Cement, Bestway Group, KAPCO, and Fauji Cement.

Pharaon Investment Group had previously informed its stakeholders about the interest from potential investors in acquiring its shareholding in ACPL, along with their intention to submit formal bids.

PIGL also mentioned the appointment of Standard Chartered Bank as the financial advisor for this divestment.

Attock Cement Pakistan Ltd, a public limited company, was established in Pakistan on October 14, 1981. It operates as a subsidiary of Pharaon Investment Group Limited Holding S.A.L, Lebanon.

The core business of the company involves the production and distribution of cement.